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What Adobe’s new pricing for Flash means for social game developers

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Re: What Adobe’s new pricing for Flash means for social game developers

#61

Post by talmand »

talmand wrote: post #10

Before we start another huge chain of people saying this is the death of Flash because all the developers will leave the platform due to revenue sharing, please read what the requirements actually are. This will only apply to very specific apps and developers. Unless you are planning to use Unity or UnrealEngine in Flash, this will most likely not apply to you.

Pointing this out in thread gets upvotes, in another thread it gets downvotes.

Downvotes for pointing out the facts of the issue at hand. Classy.

Re: What Adobe’s new pricing for Flash means for social game developers

#62

Post by protomyth »

novalis wrote: post #48
protomyth wrote: post #22

Earlier quoted context omitted.

I actually do not think HTML5 is a replacement for Flash (thus my second paragraph). Regardless of the utility and capability of Flash, it is no longer a universal platform. Since it is losing market share (browser with flash / browsers without), I would assume people in the social gaming area are starting to look at other platforms with HTML5 having the largest market share.

"...it is no longer a universal platform." Was it ever ? Media diffusion is not something anyone should disregard depending on brand. Present penetration numbers are still impressive unless you have other data. That creates a blind spot in the rear view mirror for someone wanting to isolate social gaming in a area where only one technology is enough, sometimes even the only one that is "acceptable". Let us see how pe…

"...it is no longer a universal platform." Was it ever ?

When the PC had 99%+ of the web browsing traffic, it pretty much was as close as anyone has got to a universal platform.

Re: What Adobe’s new pricing for Flash means for social game developers

#63

Post by vacri »

marshray wrote: post #60
vacri wrote: post #49

while this move by Adobe looks bizarre, I'm worried about the random numbers thrown up in the paragraph about revenue. He's claiming it takes $2.50 to acquire a user, leaving $0.50 for everything else (development, support, hosting, etc). Am I missing something, or does he really spend 5/6ths of his income on marketing his product?

How else could a software developer like Zynga with record revenue (up 59% to $311M) take a loss? http://techcrunch.com/2012/02/14/zynga-earnings/ Reading statements like this "And average daily bookings per average DAU increased from $0.055 in the fourth quarter of 2010 to $0.061 in the fourth quarter of 2011, up 11% makes the new 9% of net demanded by Adobe sound absolutely outrageous.

Your link says the loss includes "$510 million of stock-based compensation expense for restricted stock units issued to employees" - that's not marketing.

Re: What Adobe’s new pricing for Flash means for social game developers

#64

Post by marshray »

vacri wrote: post #63
marshray wrote: post #60

Earlier quoted context omitted.

How else could a software developer like Zynga with record revenue (up 59% to $311M) take a loss? http://techcrunch.com/2012/02/14/zynga-earnings/ Reading statements like this "And average daily bookings per average DAU increased from $0.055 in the fourth quarter of 2010 to $0.061 in the fourth quarter of 2011, up 11% makes the new 9% of net demanded by Adobe sound absolutely outrageous.

Your link says the loss includes "$510 million of stock-based compensation expense for restricted stock units issued to employees" - that's not marketing.

Good point, that must be it. It seemed consistent with something I remember reading last year where they had made some implausibly small profit. For example, the article says:

Non-GAAP EPS was $0.05 for the fourth quarter of 2011 compared to $0.09 for the fourth quarter of 2010.

I think what this really proves is that I don't understand GAAP or SEC accounting and things look especially mysterious to me around the time of an IPO.

Thanks for pointing that out.

Re: What Adobe’s new pricing for Flash means for social game developers

#65

Post by vacri »

marshray wrote: post #64
vacri wrote: post #63

Earlier quoted context omitted.

Your link says the loss includes "$510 million of stock-based compensation expense for restricted stock units issued to employees" - that's not marketing.

Good point, that must be it. It seemed consistent with something I remember reading last year where they had made some implausibly small profit. For example, the article says: Non-GAAP EPS was $0.05 for the fourth quarter of 2011 compared to $0.09 for the fourth quarter of 2010. I think what this really proves is that I don't understand GAAP or SEC accounting and things look especially mysterious to me around the tim…

As I don't speak much in the way of financespeak, that was about all I could understand from the link anyway :) "Non-GAAP EPS" doesn't ring any bells to me... it just reminds me of whatever acronym-of-the-year my last company would use to 'prove' we weren't making a loss.
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